Bank of Japan Governor Kuroda

  • See no need to review BOJ's ETF buying
  • BOJ may review ETF purchases in future but for now, it is buying ETF as part of a package of steps to achieve 2 pct inflation
  • BOJ's pledge to buy roughly 6 trln yen of ETFs annually doesn't have a set calendar start, end date
  • BOJ will guide its ETF buying appropriately with eye on how it is affecting risk premium
  • BOJ's ETF buying doesn't aim at pushing up stock prices, target specific stock level
  • It is true bond market volatility has become very low in Japan but volatility is also low in Europe, where ECB has taken non-orthodox monetary policy
  • BOJ is exchanging views with ECB to ensure central banks can deal appropriately if low volatility destabilises markets
  • BOJ will obviously debate exit strategy from easy policy once 2 pct inflation is achieved

BOJ and ECB exchanging views:

I know, I know, those guys telling us the stock market is going to crash for years now, right?

more to come